Interest income, commissions boost KB Financial's Q3 net by 27% to 1.194 trillion won

KB Financial Group posted a 1.194 trillion won net profit in the third quarter, up 27 percent from last year's 940.69 billion due to increased interest and commissions income.

According to a company spokesman, the higher interest income was due to increased loans for home purchases and rents while commission income rose due to the sale of funds.

Operating profit rose 14 percent from 1.25 trillion won last year to 1.42 trillion won.

However, revenue fell 19 percent to 10.53 trillion won from 13.01 trillion won during the same period.

The spokesman attributed the decline in revenue to the group's insurance business's poor performance on account of high loss ratios stemming from a series of typhoons and heavy rains this summer.

From January to September, net profit rose 5.3 percent to 2.93 trillion won from 2.78 trillion won a year earlier.

In the first nine months, Fund-related commissions surged 26 percent to 2.17 trillion won, while interest income went up 4 percent on-year to 7.14 trillion won.

Operating profit was up at 3.85 trillion won in the first nine months, rising 3.5 percent from 3.72 trillion won the previous year.

Revenue also jumped 6.8 percent to 40.53 trillion won from last year's 37.94 trillion won.

KB Financial Group had assets worth 605.5 trillion won and a 14.69 percent BIS capital adequacy ratio at the end of the third quarter. It has 13 affiliates under its wing, including KB Kookmin Bank, KB Securities Co., and KB Insurance Co.